Tennant: Overview of Q3 Earnings
Third Quarter Earnings: Tennant Co. reported a net income of $14.9 million for the third quarter, equating to 80 cents per share, with adjusted earnings of $1.46 per share.
Revenue Performance: The company generated revenue of $303.3 million during the same period, reflecting its operations in cleaning products for various environments.
Full-Year Earnings Forecast: Tennant anticipates full-year earnings to be between $5.70 and $6.20 per share.
Revenue Projections: The company expects its total revenue for the year to fall within the range of $1.21 billion to $1.25 billion.
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- Share Acquisition: Kopion Asset Management disclosed the purchase of 35,531 shares of Tennant during Q4, amounting to approximately $2.72 million, indicating confidence in the company's future performance despite a 7.4% decline in stock price over the past year.
- Holding Status: Following the acquisition, Kopion's total stake in Tennant reached 123,037 shares valued at about $9.07 million, representing 6.48% of its assets under management, highlighting its significance in the investment portfolio.
- Financial Performance: Tennant reported net sales of $303 million, down 4% year-over-year, yet adjusted EBITDA rose to $49.8 million, demonstrating effective cost control and pricing discipline amidst a volume downturn.
- Shareholder Returns: In the latest quarter, Tennant returned $28 million to shareholders through dividends and buybacks while raising its dividend again, reflecting its stability and strong cash flow generation capabilities throughout the economic cycle.
- Share Acquisition: Kopion Asset Management acquired 35,531 shares of Tennant in Q4, with an estimated trade size of $2.72 million, reflecting confidence in the company's future performance.
- Increased Stake Value: By quarter-end, Kopion's total stake in Tennant reached 123,037 shares valued at approximately $9.07 million, an increase of $1.97 million from the previous quarter, indicating a positive stock price trend.
- Profitability Improvement: Although Tennant's net sales declined by 4% year-over-year, adjusted EBITDA rose to $49.8 million, with the EBITDA margin expanding by 120 basis points, demonstrating successful cost control measures.
- Shareholder Returns: Tennant returned $28 million to shareholders through dividends and buybacks in the quarter, continuously raising its dividend, showcasing strong cash flow and robust financial management.
Upcoming Ex-Dividend Dates: On 11/28/25, CSX Corp, Tennant Co., and MillerKnoll Inc will trade ex-dividend, with respective dividends of $0.13, $0.31, and $0.1875 scheduled for payment on 12/15/25 and 1/15/26.
Expected Price Adjustments: Following the ex-dividend date, CSX shares are expected to open 0.37% lower, Tennant Co. by 0.42%, and MillerKnoll Inc by 1.18%, based on their recent stock prices.
Dividend Yield Estimates: The estimated annualized yields for the companies are 1.49% for CSX Corp, 1.68% for Tennant Co., and 4.72% for MillerKnoll Inc, reflecting their historical dividend stability.
Current Stock Performance: As of Wednesday trading, CSX Corp shares are up 1.5%, Tennant Co. shares are up 4.1%, and MillerKnoll Inc shares are up 3.7%.
Third Quarter Earnings: Tennant Co. reported a net income of $14.9 million for the third quarter, equating to 80 cents per share, with adjusted earnings of $1.46 per share.
Revenue Performance: The company generated revenue of $303.3 million during the same period, reflecting its operations in cleaning products for various environments.
Full-Year Earnings Forecast: Tennant anticipates full-year earnings to be between $5.70 and $6.20 per share.
Revenue Projections: The company expects its total revenue for the year to fall within the range of $1.21 billion to $1.25 billion.
Third Quarter Earnings: Tennant Company reported a profit of $14.9 million, or $0.80 per share, for the third quarter, a decrease from $20.8 million, or $1.09 per share, in the same period last year.
Adjusted Earnings: Excluding special items, the company reported adjusted earnings of $27.3 million, or $1.46 per share, which fell short of analysts' expectations of $1.50 per share.
Revenue Decline: The company's revenue decreased by 4.0% to $303.3 million compared to $315.8 million in the previous year.
Future Guidance: Tennant Company provided full-year EPS guidance of $5.70 - $6.20 and revenue guidance of $1,210 - $1,250 million.
Tennant Company Earnings Report: Tennant Company is set to report its earnings after the market closes on Monday, following a disappointing last quarter where it missed revenue expectations by 2.6%, with revenues of $318.6 million, down 3.7% year-on-year.
Analysts' Expectations: For the upcoming quarter, analysts predict a revenue decline of 3.1% year-on-year to $306 million, with adjusted earnings expected at $1.50 per share, while analysts have generally maintained their estimates over the past month.
Peer Performance: In the industrial machinery sector, peers like Xylem and Columbus McKinnon have reported strong revenue growth, with Xylem up 7.8% and Columbus McKinnon up 7.7%, both exceeding analysts' expectations.
Market Sentiment: Despite a flat market for industrial machinery stocks, Tennant's shares have decreased by 3.4% over the past month, with an average analyst price target of $108.75 compared to its current price of $80.











